nihonkohden

Environment

We strive to realize a carbon-free society and our Environmental Philosophy through our business activities and the actions of our employees.

 

Care of the Environment

Environmental Philosophy

In its business activities and the actions of its employees, Nihon Kohden works towards the conservation and qualitative improvement of the earth’s priceless environment so that all people can enjoy a healthy environment.
Established: September 1, 2015

Environmental Policy

Based on its management and environmental philosophy, Nihon Kohden continuously improves its environmental management system and enhances its environmental performance.
1. Provide environmentally friendly products
In carrying out development manufacturing, marketing, after sales service, and support for electronic medical devices, we contribute to reduction of greenhouse gas emissions and sustainable use of limited resources by realizing energy and resource savings, and eliminating the use of hazardous substances throughout the product life cycle.

2. Promote energy conservation and reduction of waste in business activities
In all of our business activities, we continually work together with our supply chain to introduce low-carbon and high-efficiency technologies, and improvement activities, strive to promote energy conservation, reduce waste through the 3R’s of reduce/reuse/recycle, reduce greenhouse gas emissions over the medium to long term, and prevent environmental pollution.

3. Comply with environmental laws, regulations, ordinances, and agreements
In all of our business activities, we comply with all laws, regulations, ordinances, and agreements that concern the environment in Japan and overseas, and carry out our responsibilities to stakeholders such as responding to issues such as climate change, water resource protection and conservation of biodiversity as a global company.

4. Promote environmental education
In regard to environmental issues, we promote appropriate education and educational activities to deepen the insight of our employees and stakeholders and enable individual productivity improvements to be linked to environmental improvement activities.

Established: April 1, 2017
 

Medium- to Long-term Environmental Targets: The entire Nihon Kohden Group

Nihon Kohden considers the following items to be the Company’s business risks: Disruption of the supply chain due to natural disasters caused by climate change, and production delays due to insufficient water resources. 
We revised our medium- to long-term environmental targets, as the Japanese Government declared a target of achieving carbon neutrality by 2050. In order to realize a carbon-free society, we also set KPI for the reduction of CO2 emissions in the three-year business plan, BEACON 2030 Phase I, which started in FY2021.
We will continue our efforts to reduce Scope 3* CO2 emissions by providing environmentally friendly products and cooperating with our business partners in the supply chain. We will also identify and take action to resolve the Group’s environmental issues by monitoring resource inputs and energy use in the entire Group, disclosing water usage and Scope 1 and 2* CO2 emissions data, and setting science based targets* (SBT).
 
* Scope 1: All direct emissions from the Company's use of fuel
* Scope 2: Indirect emissions from the use of energy (mainly electricity) produced by other companies
* Scope 3: Other indirect emissions in the Company's supply chain
* Science Based Targets are greenhouse gas emissions reduction targets set by each company for 5 to 15 years in the future in line with the levels sought under the Paris Agreement.
Environmental targets for FY2050
We aim at zero greenhouse gas emissions throughout the entire product life cycle (carbon neutrality by 2050) by reducing greenhouse gas emissions from business activities, providing environmentally friendly products, and cooperating with business partners in the supply chain.
Environmental targets for FY2030
We have set environmental targets for FY2030 based on SBT* and are taking action to achieve them with the aim of realizing carbon neutrality by 2050.(These targets will be revised when the target values based on SBT are finalized.)
(We are aiming at a 26% reduction compared to FY2013 within the scope of ISO 14001 certified sites.)
Established: April 1, 2021


Environmental Targets for FY2021 <ISO 14001 Certified Sites Only>

Environmental targets for FY2021
1. Enhance production efficiency and reduce environmental impact by improving operational efficiency
Reduce environmental impact including energy use, CO2 emissions, and waste emissions generated throughout the product life cycle (Scope 1, 2, and 3*) by setting specific targets in line with the operations of each site and division and raising productivity.
2. Reduce environmental impact and prevent pollution in our business activities
2-1. Establish calculation standards in order to achieve third-party certification of CO2 emissions from the provision of environmentally friendly products (Scope 3).
2-2. Promote the development of environmentally friendly products and reduce the environmental impact of all newly developed products by an average of 5% compared to earlier products.
2-3. Reduce defect rates and reduce CO2 emissions in production processes. (Target values are based on environmental targets at the Tomioka Site and Kawamoto Site.)
3. Continuously reduce energy consumption and CO2 emissions in our business activities in order to realize a decarbonized society
3-1. In consideration of higher production volumes, limit the increase in energy use on a per unit basis to 11.2% compared to the previous fiscal year and improve CO2 emissions on a per unit basis by 14.5% compared to the previous fiscal year.
3-2. Collect data on energy use and resource inputs by overseas Group companies and set base data for SBT certification.
4. Contribute to creating a recycling-oriented society
Promote the 3R’s of reduce/reuse/recycle and achieve the following. In consideration of higher production and shipment volumes, limit the year-on-year increase in total waste emissions to 11.9%, limit the year-on-year increase in waste emissions on a per unit basis to 20.5%, and achieve a recycling rate of 96.0% or more.
Established: April 1, 2021


ISO 14001 Certification

ISO 14001 certificate ISO 14001 certificate
One mark of our progress in this area is ISO 14001 certification for our head office and main production factory in Japan. The ISO 14001 Environmental Management System standard represents the ISO's (International Standards Organization) commitment to support sustainable development by giving companies the tools to assess and control the environmental impact of their activities, products or services.
  • The Tomioka Factory obtained ISO 14001:1996 certification in October 2001, and underwent a transitional review for ISO 14001:2004 in October 2005.
  • Our head office and production department were integrated and registered for joint certification in January 2007.
  • In 2017, we completed transition to ISO 14001:2015, and underwent expansion inspections at the Advanced Technology Center and the Tomioka Second Factory.
  • In 2019, the Asaka Office obtained new certification and joined the Ochiai/Tokorozawa site.
  • In January 2022, the Eastern Japan Logistics Center obtained new certification and joined the Ochiai/Tokorozawa site in January 2022.
Currently, we conduct business activities at five sites, i.e., Ochiai/Tokorozawa Site: head office and development division; Tsurugashima Site: distribution of consumables and repair and maintenance of medical electronic equipment; Kawamoto Site: development of consumables and safety/reliability testing of medical electronic equipment; and Tomioka Site: manufacturing and spare parts supply.
The Fujioka Site was closed and related departments were relocated to the Tsurugashima Site and the Tomioka Site in May 2021. We discontinued environmental activities at this site.

In line with the principles of the United Nations Global Compact which Nihon Kohden signed in July 2015, we are driving activities to incorporate elements into its environmental targets, including preventative approaches to environmental issues, leadership in taking responsibility for the environment, as well as the development and widespread adoption of environmentally friendly technologies.

Scope of Application for Environmental Management System

1. Scope of Registration:
Development, manufacture, sales and service (repair and maintenance) of medical electronic equipment and development, manufacture and sales of consumables.

2. Associated Organization:
1) NIHON KOHDEN CORPORATION
1-31-4 Nishiochiai, Shinjuku-ku, Tokyo, Japan
1-1-6 Kusunokidai, Tokorozawa-shi, Saitama, Japan
1-11-2 Kusunokidai, Tokorozawa-shi, Saitama, Japan
1-8-11 Senzui, Asaka-shi, Saitama, Japan
[Development and sales of medical electronic equipment and corporate staff]

2-1-1 Nishi Inter, Sakado-Shi, Saitama, Japan
[Logistics of medical equipment and consumables, and inspection of consumables]
 
6-2-20 Fujimi, Turugashima-shi, Saitama, Japan
[Trial manufacture and manufacture of medical electronic equipment and sales of consumables]

2909-63 Shirakusadai, Fukaya-shi, Saitama, Japan
[Support for maintenance of safety and reliability of medical electronic equipment]

2) NIHON KOHDEN TOMIOKA CORPORATION
486 Nanokaichi, Tomioka-shi, Gunma, Japan
2027-1 Tomioka, Tomioka-shi, Gunma, japan
1-1 Tajino, Tomioka-shi, Gunma, Japan
2909-63 Shirakusadai, Fukaya-shi, Saitama, Japan
[Manufacture of medical electronic equipment and consumables]

3) NIPPON BIO-TEST LABORATORIES INC.
1-8-11 Senzui, Asaka-shi, Saitama, Japan
[Development, production and sale of immunochemistry products and animal blood-derived products]

4) E-STAFF CORPORATION
1-31-4 Nishiochiai, Shinjuku-ku, Tokyo, Japan
[Subcontracting, dispatch of temporary staff, sale of information technology equipment]

5)  E-STAFF INSURANCE SERVICES CORPORATION
1-31-4 Nishiochiai, Shinjuku-ku, Tokyo, Japan
[Insurance agency business]

Environmental Management System (EMS)

Environmental Management System

Targets and Results of the Environmental Management Program

Targets and Results of the Environmental Management Program * Click the image to enlarge.

In-House Environmental Awareness Training Program

Training
Introductory education is held for new employees to facilitate their awareness and understanding of general environmental issues, regulatory and legal compliance, ISO 14001 mechanisms, and the initiatives pursued by Nihon Kohden, as well as our Environmental Philosophy and Environmental Policy, details of targets, specific examples, and the need for full participation of all employees.
Employees working on five sites that have obtained ISO 14001 certification are educated every other year to deepen their awareness of relevant subjects, including changes in the social environment such as law revisions, Nihon Kohden’s Environmental Policy, environmental targets, and the relationship between the activities of each division.
In addition, in order to deepen awareness of environmental issues, we conduct e-learning once a year for all domestic employees.

Awareness Raising Activities
In FY2016, we established an annual Environment Day on June 5 during which we make known to all employees the need for environmental activities.

Green Procurement

As part of our efforts to provide eco-conscious products to the market, we promote procurement of parts, materials, and finished products which have a low environmental impact according to the following policy (green procurement).
1. Prioritize purchasing from suppliers conducting ambitious environmental conservation activities while also excelling in areas that include quality, pricing, delivery times, and services
2. Prioritize the purchase of toxic substance-free products

Requests to Our Suppliers

To uphold our green procurement policy, the Nihon Kohden Group asks its suppliers to practice environmental conservation in their business activities and supply products, parts, and materials that have a low environmental impact. We also ask them to provide an RoHS Declaration of Conformity and participate in various surveys.

Supplier-side Environmental Coservation

We ask all our suppliers to take measures for effective environmental conservation such as establishing an environmental policy, maintaining systems, and implementing education.

Supplying Low Environmental Impact Products, Parts, and Materials

To manage the chemicals that are used in our procured products, we request the following.

1. Create a control system for chemical substances used in products
2. Reduce toxic substances and implement green procurement of parts and materials that have low environmental impact

Chemical Substance Content Inspection

To evaluate the chemical substances in procured goods, we request all our suppliers respond to investigations of chemical substances in the goods. We require suppliers to provide certificates of compliance for materials used in RoHS compliant products.

Initiatives for Water Resources

Initiatives for using water resources in water-stressed areas

Nihon Kohden has identified water-stressed areas in each region in which the Company operates and evaluated risks accordingly. We utilized the Aqueduct Water Risk Atlas published by the World Resources Institute (WRI) and have confirmed that the following regions are relatively water-stressed areas compared to other regions: The U.S. and Mexico in the Americas, Germany and Italy in Europe, and India, UAE, and South Korea in Asia. Although no water-related issues have occurred in water-stressed areas at this time, we will continue to work on proper and efficient use and safe supply of water. We are currently collecting data at some overseas subsidiaries where we have not been able to obtain actual values.

Providing products with lower impact on water resources

Since the launch of its first hematology product in 1972, Nihon Kohden has developed and marketed hematology analyzers that are compact and easy to use. The latest models currently available provide improved safety, speed, convenience, and accuracy in blood testing. The product maintenance systems have also been improved. In addition, the amount of reagents used for diluting blood during testing and for cleaning the inside of the device has been reduced by approx. 20%* per year, resulting in a reduction in waste fluid discharge.
The MEK-1303 automated hematology analyzer and clinical chemistry analyzer
*  Results of comparison between our latest models; the MEK-1300 series automated hematology analyzers and the MEK-1303 automated hematology analyzer and clinical chemistry analyzer, and conventional models; the MEK-6500 series automated hematology analyzers, with 10 tests performed using each model per day.

Compliance with Laws and Regulations

Nihon Kohden has no serious issues of non-compliance with standards and regulations regarding water, payment of severe fines or penalties for violation of those standards and regulations, nor any serious water leaks.

Disclosure based on TCFD Recommendations

To realize our management philosophy that we contribute to the world by fighting disease and improving health with advanced technology, and create a fulfilling life for our employees, Nihon Kohden strives to earn the trust of our customers, shareholders, business partners, and society in all aspects of products, services, technology, financial position, and employee quality.
In recent years, activities aimed at achieving the UN Sustainable Development Goals have been promoted in order to respond to various cross-border social issues. The medical care we are involved in is becoming more and more complex due to various problems such as the aging society in developed countries, rising medical costs, lack of basic medical care in emerging countries, and widening medical disparities.
Under these circumstances, Nihon Kohden defined 12 material issues to be addressed through business and corporate activities. The Company also incorporated these non-financial targets into its three-year business plan, BEACON 2030 Phase I, which started in April 2021, in order to contribute to global social issues and SDGs.
As addressing climate change is one of the most critical social issues facing global society and one of the most significant management issues for us, Nihon Kohden expressed its support for the Task Force on Climate-related Financial Disclosures (TCFD) in May 2022. Nihon Kohden will address climate change with integrity to realize a carbon-free society as stated in our material issues and disclose information in line with the TCFD recommendations.
We aim to realize a sustainable society and increase our corporate value by further strengthening the coordination between our business strategy and sustainability strategy, and creating both economic and social value.

 Sustainability Policy

Governance

To promote sustainability, Nikon Kohden has established the Sustainability Promotion Committee, composed of the president, operating officers, and general managers, and Sustainability Promotion Meeting, composed of the representatives of 17 divisions. In July 2021, Nihon Kohden also established the Advisory Board consisting of four external experts* to incorporate outside perspectives on sustainability activities including measures to address climate change. 
The Sustainability Promotion Committee holds a meeting twice a year and formulates the policies and directions including measures on climate change. The president, who is the chairman of the Sustainability Promotion Committee, has the authority to evaluate and manage measures to mitigate climate change, and regularly reports to the Board of Directors about the progress and evaluation of the annual plan. The Board of Directors supervise measures on climate change.The Sustainability Promotion Meeting is held four times a year to establish and promote annual plans based on the policies and directions formulated by the Sustainability Promotion Committee and reports on the progress of those plans to the Sustainability Promotion Committee. Based on its three-year business plan, Nihon Kohden’s management has set KPIs (Key Performance Indicators) related to sustainability and assigned departments for each materiality. Members of the Sustainability Promotion Meeting, who represent the departments in charge of each materiality, report on the progress of sustainability activities and exchange opinions with other members at regular meetings. We strive to implement sustainability activities in its daily business operations, in close coordination with the Compliance Committee, Quality Control Committee, and Environmental Committee. The Advisory Board Meeting is held twice a year to discuss and advise on overall sustainability promotion, including actions on climate change.
Furthermore, in order to raise awareness of the SDGs within the company, we take actions such as educating employees in Japan and overseas through webinars.
* As one of the Advisory Board members was appointed as an outside director in June 2022, the Advisory Board currently consists of three members.

 Sustainability Promotion Structure
 Material issues and KPIs for realizing a carbon-free society

Strategy

To understand the impact of climate change on business activities in Japan and internationally, Nihon Kohden has analyzed risks and opportunities mainly by management and members of the Sustainability Promotion Committee. Based on analysis of a 1.5℃ to 2℃ scenario as well as a 4℃ scenario, we have identified transitional and physical risks and opportunities over the short-term to FY2023, medium-term to FY2026, and long-term to 2029. We have also examined the business impact and possible countermeasures.
 
* A 2℃ scenario is to limit the global average temperature increase to 2°C above pre-industrial levels.
A 1.5℃ scenario is to hold the increase in the global average temperature to well below 2°C above pre-industrial levels and to pursue efforts to limit the temperature increase to 1.5°C above pre-industrial levels.
A 4℃ scenario estimates the global average temperature increase is to 4°C above pre-industrial levels.

 Long-term Vision, BEACON 2030
Assumption of each scenario 1.5℃/2℃ scenario 4℃ scenario
Society dimensions We assume that social changes toward a global decarbonization effort, which limits the average temperature increase to 1.5 to 2℃, will result in changes in laws and regulations, and technological innovation, affecting our business. We assume that extreme disasters and infectious diseases will increase and affect our business due to a 4℃ increase in the average temperature, even though the Paris Agreement and various policies to reduce greenhouse gases will be implemented.
Reference Transition risks: IEA (International Energy Agency): STEPS (The Stated Policies Scenario), NZE (Net Zero Emissions by 2050), SDS (Sustainable Development Scenario)
Physical risks: IPCC (Intergovernmental Panel on Climate Change), SSP2 (Shared Socioeconomic Pathways), RCP4.5, RCP6.0, RCP8.5
(Time period is 2030 to 2050) 
 
  • The outlook with a 1.5℃ to 2℃ scenario – Potential impact of climate change on our business
In the medical industry, demand for environment-friendly products and digital health solutions will increase because of strengthening laws and regulations and increasing customer awareness of the need to realize a carbon-free society. Costs are expected to increase as a result of the need to meet this demand, but further business opportunities are expected if our response is handled properly.
 
  • The outlook with a 4℃ scenario – Potential impact on our business due to climate change
In a society where decarbonization policies are not progressing well and extreme natural disasters are intensifying, it is expected that the healthcare system will need to be strengthened, especially in the areas of disaster medicine and emergency medicine. On the other hand, the procurement of parts, the supply of products, and sales and service activities may be disrupted significantly. 

Risk Management

The Board of Directors is responsible for establishing basic policies concerning risk management in overall Group business operations, and ascertaining the improvement and implementation status of the Group-wide risk management framework. The risks present in the execution of business activities have been classified into nine types, and the Risk Management Divisions and Risk-Related Committees have been assigned to each risk type. The Risk Management Divisions provide training and support to operating units and subsidiaries with regard to their assigned risk types, and report improvements to the system and their implementation status to the Board of Directors and the Risk Management Supervisory Division, which is tasked with improving and promoting the overall risk management system of the Nihon Kohden Group. The Risk-Related Committees report to the Management Council on matters including assessments of management system appropriateness, validity, and effectiveness for related risk types.

 Strengthening Our Risk Management System

Metrics and Targets

In order to address various cross-border social issues and achieve the Sustainable Development Goals, Nihon Kohden has defined 12 material issues to be addressed through business and corporate activities. The Company has also incorporated these non-financial targets into its three-year business plan, BEACON 2030 Phase I, and set environmental KPIs (Key Performance Indicators). To realize a carbon-free society, the Company has set KPIs for CO2 emissions, the number of models and sales ratio of environment-friendly products, and the amount of waste from disposal of products and parts.

 Sustainability Data

Nihon Kohden Environmental Report

We integrated our Environmental Report 2015 into our CSR Report 2015. Please see our Environmental Report before 2014, CSR Report in 2015 and 2016, and Integrated Report from 2017 in the following downloads page.